A medical device manufacturer that has had operations in West Jordan for a few years will move its headquarters there, adding more than 100 jobs over the next five years.
Route 92 Medical Inc. announced in late 2022 it would put a 40,000-square-foot manufacturing operation in West Jordan and recently announced the headquarters move from San Mateo, California, after receiving a Utah state incentive for the $5 million expansion project.
Founded in 2015, the medical device company specializes in improving acute ischemic stroke treatment. It develops, manufactures and commercializes catheters that can remove clots from the brain and restore blood flow there to treat those strokes.
“We take our science very seriously. We take our mission seriously to treat patients,” Randy Sullivan, the company’s senior vice president of operations and business development, told the Governor’s Office of Economic Opportunity board before the incentive vote. “We’ve done a great job of doing that. And as we did so, we’ve been growing very quickly for a startup company. … We’ve been going at a very fast clip.”
“Expanding our presence in West Jordan was a strategic decision driven by Utah’s exceptional talent pool and the state’s strong support for medical innovation,” Dr. Tony Chou, company founder and CEO, said in a news release about the project. “We are grateful to the state of Utah for supporting our work to bring life-saving neurovascular intervention technologies to providers and patients.”
The state incentive is in the form of a tax credit of up to $272,722 over five years, tied to the creation of 116 high-paying jobs during that time. New total wages are estimated to be $33.9 million and new state tax revenue is projected to be nearly $1.4 million. The new jobs are expected to pay an average of $101,165 annually.
Sullivan told the GOEO board that the new jobs could be added at the current West Jordan location or a nearby site. The existing facility produces 3,000 to 4,000 catheters a month, “but we’re just getting started,” he said. “We’re looking at significant growth going forward.”
Jesse Turley, chairman of the GOEO board’s incentives committee and the board’s acting chairman for the meeting, said that the incentives committee was impressed by a presentation from the company “and saw quite the miracles that you guys are performing through your technology.”
Jim Grover, economic development director for West Jordan, said the city is excited to have Route 92 in the city and glad the company has chosen to grow in Utah. “We are going to do anything that you possibly need, Randy, to make sure that your business is successful in the city,” he said.
Added Rex Buys, business development manager at the Economic Development Corporation of Utah (EDCUtah): “We know the special ecosystem that we have for medical device manufacturing in Utah and for life science in general, and it feels great to have that recognized by a company choosing to relocate their headquarters here like Route 92 is.”
In a prepared statement, Jefferson Moss, GOEO’s executive director, called the relocation from California “a win for Utah’s economy and our thriving life sciences industry. Route 92 Medical has a strong history of building life-saving medical technologies in Utah, and this new investment will create jobs, compound their impact within our state, and help ensure that Utah remains a global leader in cutting-edge health care technology.”
“We’re proud to welcome Route 92 Medical’s headquarters to Utah,” said Ryan Starks, executive director of EDCUtah. “Their decision to expand here underscores our state’s reputation as a premier destination for medical device manufacturing. This move will bring high-quality jobs to our residents and further strengthen Utah’s position as a leader in the life sciences sector. We’re excited to support their expansion and the impact they will have on our business community.”
“We welcome the expansion of Route 92 Medical in West Jordan and look forward to the positive impact this new investment will have on our community,” said Paul Coates, West Jordan’s economic development manager. “Beyond job growth in a key industry, this project will enhance our ability to invest in the high-quality services and infrastructure our residents deserve. We are proud that West Jordan will play a direct role in forwarding technology that will save lives across the globe.”
GOEO does not provide upfront cash incentives. Each year that an incentivized company meets the obligations in its contract with GOEO, it will qualify to receive a portion of the new, additional state taxes the company paid to the state.